Canadian stocks fell Thursday, trimming significant gains from the previous session amid mixed earnings reports and news of a bailout for plane maker Bombardier.
The S&P/TSX Composite Index slipped 71.28 percent to 13,791.88 as gold and metal stocks were hammered due to falling commodity prices.
Investors were in a cautious mood all day, due in part to yesterday’s confounding policy statement from the U.S. Federal Reserve.
Markets remain unclear if the Fed intends to raise rates in December.
In the meantime, sluggish U.S. GDP figures suggest the economy has little momentum to withstand another winter slowdown.
The Commerce Department said real gross domestic product rose by 1.5 percent in the third quarter compared to the 3.9 percent jump seen in the second quarter. Economists had expected a 1.7 percent increase.
Bombardier (BBD.B.TO) plunged 17.4 percent after receiving a $1 billion investment from the Quebec government to shore up its troubled CSeries program.
Traders assessed a number of earnings reports, including disappointing results from fertilizer maker Potash (POT.TO).
Potash earnings for the third-quarter fell on weaker fertilizer environment and lower net sales. Further, the company revised its guidance for the full year. Shares dropped 3 percent.
Suncor Energy Inc. (SU.TO) released a profit for third quarter that dropped 69% compared to the same period last year.
Earnings totaled C$0.41 billion, or C$0.28 per share. This was lower than C$1.31 billion, or C$0.89 per share, in last year’s third quarter. Still, shares were up 3.4 percent.
Goldcorp Inc. (G.TO, GG) reported a loss for the third quarter that widened from last year despite higher revenues and production. Shares fell 10 percent.
Barrick Gold’s (ABX.TO) bottom line came in at $131 million, or $0.11 per share. This was lower than $222 million, or $0.19 per share, in last year’s third quarter. Shares were up 1.6 percent.
The material has been provided by InstaForex Company – www.instaforex.com